How Does Fingo.com.au Work?

Fingo.com.au functions as a facilitator and broker for various conventional vehicle finance and leasing solutions. Their process is designed to connect individuals and businesses with financing options for cars, manage vehicle fleets, and assist with associated services like buying, selling, and insuring vehicles. The core mechanism involves leveraging their expertise and network to provide these interest-based products.

1. Understanding Your Needs

• Initial Inquiry: The process typically starts with a user identifying their need, whether it’s personal car finance, a novated lease for an employee, or fleet management for a business.
• Online Forms: Users are guided to fill out online forms for “get a quote & pre-approval.” These forms gather essential information about the applicant’s financial situation, the desired vehicle, and the type of finance they are interested in.
• Identifying the Right Product: Based on the information provided, Fingo.com.au aims to match the applicant with the most suitable conventional finance product from their portfolio (e.g., novated lease, chattel mortgage, operating lease, personal car finance).

2. Sourcing and Structuring Finance (Interest-Based)

• Lender Network: Fingo.com.au likely works with a network of conventional lenders (banks, financial institutions) to source the finance. They act as an intermediary, using their relationships to potentially secure “competitive solutions.”
• Structuring the Deal: They structure the lease or loan agreement, which fundamentally involves the calculation of interest (riba) on the financed amount.
  • Novated Lease: This typically involves a three-way agreement between the employee, the employer, and Fingo (or their financier). Fingo finances the vehicle, and the employer makes lease payments from the employee’s pre-tax salary, which includes the interest component.
  • Chattel Mortgage: Fingo arranges a loan where the vehicle itself serves as security. The borrower takes ownership, but the lender holds a mortgage over the vehicle until the interest-bearing loan is repaid.
  • Operating Lease: Fingo arranges a long-term rental where the business pays regular lease payments (inclusive of interest-like charges) for the use of the vehicle, without intending to own it at the end.
• Tax Benefits Integration: For products like novated leases and car allowances, Fingo highlights how these arrangements can be structured to maximise tax benefits for the employee or business, within Australian tax laws. This is a key selling point.

3. Approval and Documentation

• Credit Assessment: Once the initial details are gathered, Fingo.com.au (or their associated lenders) conducts a credit assessment to determine the applicant’s eligibility and creditworthiness.
• Pre-Approval/Quote: If approved, they provide a quote or pre-approval, outlining the proposed terms, payments (which include interest), and any associated fees.
• Contractual Agreement: Upon acceptance, formal documentation is prepared for signing. These legally binding contracts detail all financial obligations, including the total amount repayable (which includes the interest accrued over the term), repayment schedule, and terms and conditions.

4. Vehicle Acquisition and Management

• Car Broker Service: If the customer needs a car, Fingo.com.au can leverage its “nationwide dealer network” to act as a car broker, negotiating prices on behalf of the customer. This can apply to new or used cars.
• Trade-in/Sale: They also assist with valuing and facilitating the trade-in or sale of existing vehicles, using “big data” to secure a “fair price.”
• Fleet Management: For businesses, Fingo provides ongoing fleet management services, handling aspects like vehicle acquisition, maintenance scheduling, and disposal, all while managing the underlying finance agreements (which are interest-based).
• Insurance Arrangement: They offer to “tailor a car insurance solution,” likely connecting clients with conventional insurance providers.

The Underlying Issue: Interest (Riba)

The entire operational flow of Fingo.com.au is predicated on conventional financial mechanisms that involve interest. From the moment a quote is generated to the final repayment, interest is embedded within the structure of every product. This is not explicitly detailed as “interest” on the homepage but is inherent to the terms “finance,” “lease,” and “mortgage” in their conventional application. For those adhering to interest-free financial principles, this fundamental aspect renders Fingo.com.au unsuitable, regardless of the convenience or tax benefits offered.